Macy's to increase manufacturing capacity with new West Virginia plantMacy's, the iconic American department store, will build a new distribution center in West Virginia. The facility will employ 1,900 full- and part-time employees and will cost the company $150 million.

Amid rising revenues following the recession, Macy's will use the 1.3 million-square-foot facility to fill Internet orders destined for the eastern part of the U.S. Macy's chief executive, Terry Lundgren, affirmed that the retailer needs the increased manufacturing capacity to fulfill the rising sales from its website.

"In the first 10 months of fiscal 2010, our online sales were up by about 29 percent compared with the same period last year," Lundgren said in a statement. The new West Virginia factory will "represent a significant expansion of our online capacity." Macy's also has plans to open distribution centers for online orders in both Tennessee and Arizona.

The new facility will have an annual payroll of $30 million and will be a boon to a West Virginia economy that is reeling from the economic downturn. Currently, the state has an 8.8 percent unemployment rate. Acting West Virginia Governor Early Ray Tomblin told reporters at a news conference that he is "proud to welcome Macy's new fulfillment center to our state."
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